Article

The Careers of Immigrants in Finland: Empirical Evidence for Genders and Year of Immigration

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  • Pellervo Economic Research PTT
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Abstract

This study offers new empirical evidence on the careers of immigrants in the new host country. The focus is on the effects of gender and year of immigration on employment. Integration of immigrants into labour market is vital since employment determines the outcome of migration at the personal level and for the economy of the host country. We utilise longitudinal micro-level data from Finland and provide evidence from a country where large-scale immigration occurred as late as 2000s. The results suggest that men have longer working careers than women. Especially, the effects of family characteristics differ between men and women. Having underage children is associated with shorter working careers among women while the findings are opposite for men. The differences in the length of career according to the year of arrival appear in the analysis when several individual characteristics are taken into account. Hence, the different composition of immigrants arriving in different times does not fully explain employment outcomes. The results imply that social and economic conditions during the year in which immigration takes place have a lasting impact on future working years. Since the year of immigration and gender are relevant factors in the integration process, policy instruments are needed to improve integration of both genders and in timely manner after arrival.

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... Tutkimus tarkastelee myös työvoiman ulkopuolella olemiseen liittyviä tekijöitä, kuten perhetilanteeseen sekä sosiaaliseen ja henkilökohtaiseen elämäntilanteeseen liittyviä seikkoja. Keskeinen lähtökohta on, että muutto osaamisen ja kykyjen perusteella ei poista haasteita, jotka liittyvät kielitaidon hankkimiseen, sosiokulttuurisiin normeihin sopeutumiseen ja työkontekstin ulkopuolisten sosiaalisten verkostojen luomiseen (Busk & Jauhiainen, 2022;Koskela, 2020). ...
... Avioliiton perusteella muuttaneet ammattilaiset taas kokevat urakehityksen hidastumista ja kärsivät sosiaalisten verkostojen puutteesta (vrt. Busk & Jauhiainen, 2022). Tarjoamalla saavutettavia ja räätälöityjä koulutuksia ja sertifiointeja voidaan auttaa näitä korkeasti koulutettuja puolisoja muovaamaan osaamistaan työmarkkinoille sopivaan muotoon. ...
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Book
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This comprehensive review provides an overview of the current state of integration in Finland. The electronic publication is available at https://julkaisut.valtioneuvosto.fi/bitstream/handle/10024/165441/TEM_oppaat_1_2024_Kotoutumisen_kokonaiskatsaus_2023.pdf?sequence=1&isAllowed=y
... Among immigrants in Finland, lacking work experience is a hindrance to employment. Therefore, the period immediately after immigration seems crucial for accumulating work experience in the host country (Busk & Jauhiainen, 2021). Further, Norwegian researchers have used administrative data and a quasi-experimental design to show that lack of quali ications and skills negatively affect the employment opportunities among young people with mental health problems (Markussen & Røed, 2020). ...
... Most likely, this is a smaller barrier to employment in the Nordic countries today compared to e.g., Southern Europe, due to the fact that responsibilities formerly considered to be familial are now managed, to a relatively large extent, by the Nordic welfare states. Nevertheless, research conducted in Finland has indicated that such responsibilities do pose an employment barrier, particularly for immigrant women, who are more likely to stay home for longer periods following childbirth (Tervola, 2020;Busk & Jauhiainen, 2021). Moreover, the persisting gender employment rate differences in all the Nordic countries (i.e., men being employed to a higher extent than women are) might also be due to, inter alia, gendered differences in societal expectations to care responsibilities. ...
... The state of the economy can be a barrier for a number of different reasons. For example, research from Finland demonstrates that the social and economic conditions during the year of immigration have a lasting impact on future working years for the immigrating individuals (Busk & Jauhiainen, 2021). ...
... As a consequence, conscript service mainly improves the labour market outcome of men, which can then contribute to increased inequality. This is problematic because female migrants' labour market position is worse to begin with than that of male migrants (Busk & Jauhiainen, 2022;Busk et al., 2016;Eronen et al., 2014;OECD, 2018). Furthermore, it seems that the labour market capital accumulated during service steers male migrants towards male-dominant professions, such as transportation and security. ...
... Furthermore, it seems that the labour market capital accumulated during service steers male migrants towards male-dominant professions, such as transportation and security. As such, it can enhance existing gender segregation in the labour market (Busk & Jauhiainen, 2022;Heikkilä, 2017). ...
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... Tutkimus tarkastelee myös työvoiman ulkopuolella olemiseen liittyviä tekijöitä, kuten perhetilanteeseen sekä sosiaaliseen ja henkilökohtaiseen elämäntilanteeseen liittyviä seikkoja. Keskeinen lähtökohta on, että muutto osaamisen ja kykyjen perusteella ei poista haasteita, jotka liittyvät kielitaidon hankkimiseen, sosiokulttuurisiin normeihin sopeutumiseen ja työkontekstin ulkopuolisten sosiaalisten verkostojen luomiseen (Busk & Jauhiainen, 2022;Koskela, 2020). ...
... Avioliiton perusteella muuttaneet ammattilaiset taas kokevat urakehityksen hidastumista ja kärsivät sosiaalisten verkostojen puutteesta (vrt. Busk & Jauhiainen, 2022). Tarjoamalla saavutettavia ja räätälöityjä koulutuksia ja sertifiointeja voidaan auttaa näitä korkeasti koulutettuja puolisoja muovaamaan osaamistaan työmarkkinoille sopivaan muotoon. ...
Chapter
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Using evidence on variation in the gender gap in labor force participation rates (LFPR) across home country groups in the United States, this paper analyzes cross-country differences in these gaps. The empirical evidence reveals that for first generation immigrants, over half of the overall variation in the gender gap in LFPR is attributable to home country LFPR. This suggests that there exists a permanent, portable factor, i.e., culture, that is not captured by observed human capital measures, that affects outcomes. The smaller role of home country LFPR for second-and-higher generation immigrants, provides evidence of cultural assimilation as well.
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In this paper, we analyse differences in the cyclical pattern of employment and wages of immigrants and natives for two large immigrant receiving countries, Germany and the UK. We show that, despite large differences in their immigrant populations, there are similar and significant differences in cyclical responses between immigrants and natives in both countries, even conditional on education, age, and location. We decompose changes in outcomes into a secular trend and a business cycle component. We find significantly larger unemployment responses to economic shocks for low-skilled workers relative to high-skilled workers and for immigrants relative to natives within the same skill group. There is little evidence for differential wage responses to economic shocks. We offer three explanations for these findings: an equilibrium search model, where immigrants experience higher job separation rates, a model of dual labour markets, and differences in the complementarity of immigrants and natives to capital.